ZK Proof-of-Reserve Explained

ZkStable introduces a Zero-Knowledge Proof-of-Reserve (ZK-PoR) system that verifies collateralization without revealing wallet balances or user identities.

How It Works

  1. Collateral Locking – All ZEC used to mint $pUSD is locked into verifiable shielded addresses.

  2. Merkle Root Aggregation – Collateral balances are represented as a Merkle root on-chain.

  3. ZK-SNARK Proofs – The protocol generates a cryptographic proof showing that total collateral ≥ total minted $pUSD.

  4. Public Verification – Anyone can verify proof validity without accessing sensitive collateral data.

Why It Matters

  • ✅ Privacy-preserving transparency

  • 🔒 Zero trust assumptions — verifiable on-chain

  • 🌍 Real-time solvency validation

Learn more: API Reference → /proofs/verify

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